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White Paper

What is the potential for cutting the cost of an installed heat pump?

image credit: Delta-EE iStock licence
Andy Bradley's picture
Partner, LCP Delta

Andy is a Partner at LCP Delta. LCP Delta combines the expertise of LCP Energy and Delta-EE to provide a single partner across the whole energy value chain. Since joining Delta-EE in 2010, Andy...

  • Member since 2020
  • 36 items added with 29,561 views
  • Dec 22, 2021

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The UK Heat and Buildings Strategy, published on 19th October 2021, anticipates a significant drop in the fully installed cost of a heat pump as a major mechanism to achieve its targets of 600,000 HP installs per year. A heat pump installation today is significantly more expensive for the end-user than a typical gas boiler installation.

In the UK, this difference is particularly stark – a heat pump install can cost ~4 times that of a gas boiler, compared to ~3 times a gas boiler in Germany. Coupled with gas / electricity price ratios which generally favour gas, the economics of a heat pump proposition rarely stack up compared to a gas boiler. We have assessed what potential there is to reduce the upfront cost of a fully installed heat pump, where these reductions could come from, and what this could mean for the market. Find out more in this Whitepaper from Delta-EE. 


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